Since the outbreak of the second Intifada (uprising) in 2000, Palestinians have experienced a dramatic decline in their living standards and a significant regression of the economy.

Unemployment levels have soared from an average of 12 percent to over 38 percent in the Gaza Strip and 28 percent in the West Bank; average income has fallen by over a third. As a result poverty has tripled, leaving an estimated 47-55 percent of Palestinians poor and a further 16-22 percent extremely poor.

Recent WFP assessments indicate that 37 percent of Palestinians are food-insecure, with an additional 27 percent at risk of hunger; food insecurity is highest in the Gaza Strip.